Professional liability (also called errors & omissions, or E&O) covers claims that your advice, service, or work caused a client financial harm even when you didn't make a mistake. It pays legal defense and settlement costs that general liability doesn't touch.
Your general liability policy responds when someone slips on your floor or you damage their property. It doesn't respond when a client says your advice, design, filing, or service cost them money because you were negligent, missed something, or gave bad guidance.
Professional liability (errors & omissions) fills that gap. It pays for legal defense and any settlement or judgment tied to a claim that your professional service fell short even if the claim turns out to be groundless. Legal defense alone can run tens of thousands of dollars before a case is ever decided.
A claim doesn't have to be valid to be expensive. E&O covers your defense from the first letter, not just a final judgment.
A consultant, agent, or advisor's recommendation leads to a financial loss and the client blames the guidance they were given.
A paperwork deadline, permit filing, or contractual milestone gets missed, and the client claims real damages as a result.
A plan, drawing, or specification contains a mistake that leads to rework, delays, or added cost on a project.
Incorrect numbers, a bad report, or a data error is delivered to a client who relied on it for a decision.
A client alleges you failed to perform the service you were contracted for, whether or not that's actually true.
E&O pays to defend you even against a meritless claim; without it, those legal costs come straight out of your business.
Unlike general liability, professional liability is typically written on a claims-made basis the policy in force when a claim is filed is what responds, not the one active when the mistake happened. If you switch carriers or let a policy lapse, older work can be left uncovered. We help you track retroactive dates and avoid gaps when you renew or switch.
We shop your professional liability across 50+ carriers to find the right fit for how your business actually operates.
Start My Quote →Disclaimer: The coverages, endorsements, and features described on this page are illustrative examples and may vary by carrier, state, and individual policy. Conexion Insurance Agency does not guarantee that any specific coverage, limit, or exclusion applies to your policy. Actual terms are governed solely by the policy issued to you please review your own policy documents carefully and contact us directly for specifics about your account.